2025 was not a year of slogans for Malta. It was a year of delivery. In an increasingly uncertain global environment, our country chose stability, investment and social cohesion and the results speak for themselves.
Independent international reports by EY and the Financial Times confirmed Malta's position as one of Europe's leading destinations for foreign direct investment (FDI). Major international players, including STMicroelectronics, Lufthansa and Ryanair, committed to expanding their footprint here, driving the strongest growth in FDI ever recorded by our country. This was not accidental. It was the outcome of deliberate policy choices that prioritised certainty, skills and long-term competitiveness.
What matters most, however, is not simply the volume of investment, but its quality. In 2025, Malta doubled down on advanced and future-oriented sectors. The establishment of the Malta Centre of Competence in Semiconductors, backed by significant public investment, marked a strategic shift towards high-value manufacturing and research.
At the same time, Malta reinforced its position as a global leader in gaming and digital innovation. New large-scale investment in gaming, eSports, iGaming and video game development confirmed the sector's continued confidence in Malta. These investments are not about short-term growth, but about creating thousands of high-quality, future-proof jobs that reward creativity, technical skill and innovation, particularly for younger generations entering the workforce.
This economic progress was underpinned by equally strong investment in digital infrastructure. Projects such as the national High Performance Computer and Malta's participation in the EuroHPC CALYPSO initiative sent a clear message: Malta is not following technological change but it is preparing for it. Combined with the launch of a national consultation on artificial intelligence, these initiatives showed a government willing to engage, plan and future-proof the economy rather than react when it is already too late.
People at the centre of work through reform and dialogue
Yet economic growth on its own is not enough. A strong economy must serve society, not the other way around. This principle guided our work on social dialogue and labour reform throughout 2025.
One of the most meaningful steps taken this year was the introduction of Miscarriage Leave. This reform acknowledged a reality too often ignored in policymaking: that work and life cannot be separated. By recognising the emotional impact of pregnancy loss and giving parents the space to heal, Malta sent a powerful signal intrenationally that workers are not just units of productivity, but people with real lives and real challenges.
This people-centred approach was further strengthened through reforms to support leave. Alongside bereavement leave, extended IVF leave and improved paternity rights, including for the self-employed, the government launched a consultation on leave for parents whose babies require care in Neonatal and Paediatric Intensive Care Units (NPICU). This reflects a deeper understanding of the pressures families face at their most vulnerable moments and the need for policies that respond with empathy, flexibility and fairness.
These reforms reflected the outcomes of sustained dialogue between government, employers and workers. Such dialogue is shaped and driven through the MCESD, where I have been directly involved in.
Perhaps most telling of all was the national discussion launched on the Right to Disconnect. In a world where technology has blurred the boundaries between work and personal life, this initiative recognised that mental wellbeing and rest are essential to long-term productivity. Crucially, it was framed not as a confrontation, but as a collaborative effort to find balanced solutions that work for both employees and employers.
At the same time, Government acted decisively on one of the most sensitive and often polarising issues facing the labour market: migration. The Labour Migration Policy introduced in early 2025 modernised the framework governing third-country workers, strengthening enforcement while protecting workers' rights. Tighter controls, pre-entry checks and increased inspections ensured that jobs are offered where there is genuine economic need and that exploitation has no place in Malta's growth story.
This balanced approach matters. It protects workers, supports responsible employers and reassures the public that growth is being managed, not left to chance.
As a government representative on the MCESD, I have seen first-hand how difficult decisions become stronger when they are shaped through dialogue. The achievements of 2025 were not the result of ideology, but of listening, negotiating and acting with purpose.
Of course, challenges remain. But the direction is clear. Malta has shown that it is possible to combine economic ambition with social responsibility and growth with fairness.
As we look ahead, the choice facing our country is not whether to change course, but whether to stay true to a model that works: one that attracts investment, rewards work and puts people at the centre of progress. In 2025, Malta chose this path and we delivered. We now look forward to 2026.
Rodrick Zerafa is Government Representative on MCESD